The African Export-Import Bank (Afreximbank) has approved a $200 million financing facility for Nigeria’s Shoreline Power Company Limited to support the execution of a major oil and gas infrastructure project in Algeria.
The funding, approved in June 2026, is expected to strengthen Nigerian engineering capacity, promote cross-border investment, and enhance Africa’s energy infrastructure development.
The facility will enable Shoreline Group, through its majority-owned Italian engineering subsidiary, Arkad SpA, to execute its portion of the $980 million Hassi Bir Rekaiz (HBR) Field Development Phase 2a project in Algeria.
Arkad holds a 44 per cent stake in the engineering, procurement and construction (EPC) contract awarded by the Groupement Hassi Bir Rekaiz (GHBR), a joint venture involving Algeria’s Sonatrach, Thailand’s PTTEP and Spain’s CEPSA.
According to Afreximbank, the financing package consists of two facilities. The first is a $110 million contract finance facility designed to support performance guarantees, advance payment guarantees and working capital requirements for the HBR project.
The second is a $90 million revolving global facility, which will provide funding for Shoreline Group and its affiliates to bid for and execute pipeline and infrastructure projects in Nigeria and other approved African markets.
The HBR Phase 2a project involves the construction of a new central processing facility that will increase production at the Hassi Bir Rekaiz oil field from approximately 13,000 barrels per day to between 50,000 and 60,000 barrels per day, significantly boosting Algeria’s oil and gas output.
Afreximbank said the project is also expected to generate about 6,000 jobs, strengthen regional supply chains and improve the capacity of African engineering firms to deliver large-scale infrastructure projects across the continent.
Speaking on the financing, Afreximbank’s Executive Vice President for Intra-African Trade Finance and Export Development, Kanayo Awani, described the deal as a major milestone in advancing African engineering capabilities.
She said the transaction reflects the bank’s Engineering, Procurement and Construction (EPC) Initiative and Intra-African Trade Champions framework by enabling an African-owned engineering company to compete successfully on major international projects.
Awani added that the structured financing would not only support Algeria’s energy infrastructure expansion but also promote intra-African trade in high-value engineering and construction services involving Nigeria, Italy and Egypt.
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